Archives / October, 2008

What To Do When You Are In A Circular Discussion With A VC

Q: I am part of a tech start-up that’s in a slight conundrum.  In order to place our product in its market, we’ve had to provide it to customers free of charge.  Now, the majority of our revenue model is based on advertisement fee’s and service fee’s collected after the product has already been placed,…

What’s Your Burn Rate Mean?

Today’s great post is from Fred Wilson and is titled The Survival Matrix.  Fred and his partners at Union Square Ventures give you a quantitative way to determine the level at which you should "freak out" about your cash position.  Where do you fall on their survival matrix?

Who You Deal With and How You Deal With Them

Two great posts on this lovely day in Boulder, Colorado.  The first is Due Diligence Reveals All – To The VC by Jeff Bussgang at Flybridge Capital Partners.  Jeff explains the three stages to the VC due diligence process and how it works.  The second is Be Careful Who You Deal With by Matt McCall at…

How Many Companies Should Be in a VC’s Fund?

Tom Crotty, managing general partner of Battery Ventures, has today’s best post of the day up over at PEHub.  It’s titled The Portfolio Effect: Battery’s Tom Crotty on Why VCs Should Back at Least 25 Companies in Every Fund.  Tom explains that, regardless of fund size, each fund should try to have between 25 and…

Why Wont The Venture Capitalist Return My Phone Call?

Q: We pitched to a venture group 3 times in July and August. They kept telling us that they were very interested and wanted to learn more about our venture so we shared complete details of our venture hoping that they would invest. Now for last 6 weeks they have gone completely silent. They used…